R2R

 


Lets Understand RTR Process Step by Step

R2R : Process-
1. Data Extraction :- extracting data from Financial & operational systems.
2. Journal Entries :- made for all financial transactions & ensure that accounting Equation remain balanced (Assets = Liability+Equity)
3. Reconciliations :- Main task in R2R role. reconciling-
 -Inter company transaction
-Bank reconciliation
-General ledger balance with subsidiary ledger
-BS account reconciliation
4. Fixed Assets & Inventory Accounting :- tracking depreciation of fixed assets, inventory & its related transaction.
5. Adjusting Entries :- at end of accounting period adjustment like- Prepaid exp, accrued income, deferrals, unearned income.
6. Financial Statement Preparation :- Based on reconciled data prepare PL, BS, CFS(cash flow)
7. Consolidation :- if multiple entities
8. Period Close :- Once all process completed, the accounting period is closed.
9. External Reporting :- FS are prepared in accordance with accounting standards (Like GAAP, IFRS, AS, Ind AS) for external reporting.
10. Audit :- Internal & External.

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